April 23, 2006	Sunday	Rabi-ul-Awwal 24, 1427

DOHA, April 22: Chief executives of the world’s top oil firms met ministers from the biggest producers and consumers on Saturday as record crude prices of above $75 a barrel added urgency to consumers’ calls for more supply investment.

A four-year rally, fuelled by disruptions from the oilfield to the refinery gate, has led to bumper profits for Exxon Mobil, Royal Dutch Shell and BP and billions of dollars in oil revenues for producers like Saudi Arabia.

But consumers — from the world’s largest energy user the United States to the developing economies of Africa –- feel vulnerable. Worries over Iran’s exports and crises in Iraq and Nigeria have pushed oil to levels that threaten economic growth.

“I expect in the medium term, two to three years, oil prices will remain high,” Paulo Scaroni, chief executive of Italy’s ENI, told reporters.

The talks with business leaders will fill the first day of three days of consumer-producer discussions aimed at steering oil away from its inflation-adjusted high of above $80 a barrel, touched in 1980, the year after the Iranian revolution.

Chief executives of Exxon Mobil, BP, Shell, Chevron and Occidental were among those at the talks which run from April 22 to 24, along with Total’s exploration and production head.

Government ministers from 65 countries, including top consumer the United States and Opec producers, were also here.

Few expect agreement on how to tackle high fuel costs.

Consumer governments are urging international oil companies to spend more on producing and refining oil and they want major exporters like Saudi Arabia to lift barriers to investment.

“(The price) is a lot to do with psychology and not much to do with fundamentals,” said Jeroen van der Veer, chief executive of Royal Dutch Shell. “There is no demand unmet in the world.”

Irked members of the Opec point out that they have raised oil output by more than 10 per cent over the past six years. Top exporter Saudi Arabia is spending billions of dollars on new oilfields.—Reuters